3 Big Advantages of the Agent-Homebuilder RelationshipJune 13, 2017
If there is one easy button for alleviating stress during the homebuying process, it is working closely with a real estate agent and a homebuilder, especially when buying a new construction home. Taking advantage of their knowledge and experience is a crucial part of securing the home you always wanted. Here are just a few reasons why.
Both builders and agents work in the buyer’s best interests
Builders of new construction homes understand the importance of outside representation. Trying to cut out agents would ultimately damage the builder’s reputation in the region and the broker community.
For many homebuilders, outside agent-based sales on average account for at least 20 percent of annual sales. Likewise, homebuilders are also aware that about 88 percent of first-time home buyers will use an agent. Working with real estate newcomers, especially, is a multi-layered process involving equal parts education and delight. Agents help connect buyers with quality housing that meets their needs. Likewise, homebuilders go beyond building affordable new homes; they build experiences. Whether it is offering useful amenities, competitive mortgage rates or reliable customer service, homebuilders want buyers to feel their needs are met at every level.
Both sides encourage clear and open communication
Whether uncovering a buyer’s needs or sorting through paperwork and real estate legalise, agents and builders are working toward similar goals. The biggest factor to accomplishing that goal is how well agents, buyers, and builders work together. Agents and builders work together as if they share a common workplace. Considering that “86% of employees and executives cite lack of collaboration or ineffective communication for workplace failures,” there is extra incentive for all channels to remain open.
Even most sales representatives are trained to ask prospective clients if they are working with an agent, even if those buyers are “just looking.” If an agent does not have a pre-existing relationship with the builder, it may be prudent for said agent to register clients with the builder ahead of time to avoid any unwanted confusion. In a business based on solid communication and trustworthy relationships many builders go above and beyond to ensure all parties are on the same page.
Agents and builders are involved after the sale
Not to sound like a broken record, but real estate agents and builders have vested interests in building relationships with each other and buyers. Short-term mindsets do not often yield meaningful results down the road.
For agents, knowing a builder is trustworthy and cultivates positive post-sale experiences, whether through a solid warranty (as many new home builders offer) or otherwise, is a good indicator for referrals and repeat success stories. For builders, keeping everyone happy is a crucial factor in determining whether that agent will show future clients their homes and communities.
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